Cumulus Media Commences $80 Mln. Offering Of Class A Common Stock - Quick Facts

(RTTNews) - Cumulus Media Inc. (CMLS), a pure-play radio broadcaster, said Monday it has commenced an underwritten public offering of $80 million of its Class A common stock pursuant to an effective shelf registration statement.

In addition, Cumulus expects to grant the underwriter an option for a period of 30 days to purchase up to an additional $12 million of the Class A common stock.

Cumulus intends to use about $77.6 million of the net proceeds from the offering to redeem all outstanding shares of the company's Series B preferred stock.

The remaining net proceeds from the offering, if any, including any net proceeds from the underwriter's exercise of its option, are expected to be placed in the company's corporate treasury and used for general corporate purposes.